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HomeMy WebLinkAboutCC Resolution 8106 (MSS Settlement)RESOLUTION NO. 8106 A RESOLUTION APPROVING SETTLEMENT OF ANTI-TRUST LITIGATION BY MARIN SANITARY SERVICE, AGREEING THAT 1/3 OF THE COST OF SETTLEMENT SHALL BE CHARGEABLE AS A COST OF GARBAGE SERVICE, SPREAD OVER TWO YEARS, AND AGREEING THAT DEBRIS BOX RATES OF GRANGE DEBRIS BOX AND WRECKING COMPANY, INC. BE REGULATED TO THE SAME EXTENT AS DEBRIS BOX RATES OF MARIN SANITARY SERVICE, INC. WHEREAS, Grange Debris Box and Wrecking Company, Inc. filed suit against Marin Sanitary Service, Inc. and others in Marin Superior Court case number 130030; and WHEREAS, at the request of the parties, Frank Solomon, Jr. was appointed mediator of this suit by Marin County Superior Court; and WHEREAS, after extensive efforts over several months, a settlement was reached between most of the parties through the efforts of the court appointed mediator; and WHEREAS, this settlement, to become effective, requires the approval of San Rafael as well as Bankruptcy Court and Superior Court; and WHEREAS, this settlement, to become effective, requires the approval of San Rafael that 1/3 of the cost of the settlement be charged to garbage service customers and 1/3 be charged to debris box customers and also requires that, to the extent casual debris box service rates are regulated by this agency, such rates be regulated as to Grange Debris Box and Wrecking Company, Inc. as well as to Marin Sanitary Service, Inc.; and WHEREAS, failure to approve the settlement would be very expensive to Marin Sanitary Service, Inc. in terms of litigation costs, management time, and otherwise and would expose Marin Sanitary Service, Inc. to significant risk of major loss to the detriment of the ratepaying public. NOW, THEREFORE, BE IT RESOLVED by the San Rafael City Council that the settlement heretofore filed with the Marin Superior Court and with the United States Bankruptcy Court for the Northern District of California between Grange Debris Box and Wrecking Company, Inc. and Marin Sanitary Service, Inc. and heretofore approved by both these Courts be, and hereby approved. 'iGiNAI Vee BE IT FURTHER RESOLVED that the provisions of the settlement relating to spreading the cost of settlement, 1/3 to debris box service, 1/3 to garbage service, and 1/3 to company profits otherwise allowable, be and hereby are approved, with such costs being allocated 50% to calendar 1990 and 50% to calendar 1991. BE IT FURTHER RESOLVED that to the extent that San Rafael regulates the rates of Marin Sanitary Service for casual debris box service, such casual debris box service rates of Grange Debris Box and Wrecking Company, Inc. shall also be regulated. I, JEANNE M. LEONCINI, Clerk of the City of San Rafael, hereby certify that the foregoing resolution was duly and regularly introduced and adopted at a regular meeting of the Council of said City on TUESDAY , the 16TH day of JANUARY , 19901, by the following vote, to wit: AYES: COUNCILMEMBERS: Boro, Brei ner, Shippey, Thayer & Mayor Mul ryan NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None JEANNE M. LEONCINI, City Clerk